SALESFORCE INC (CRM) Stock Fundamental Analysis

USA New York Stock Exchange NYSE:CRM • US79466L3024

185 USD
-8.45 (-4.37%)
At close: Feb 11, 2026
184.8 USD
-0.2 (-0.11%)
After Hours: 2/11/2026, 5:39:45 PM
Fundamental Rating

7

We assign a fundamental rating of 7 out of 10 to CRM. CRM was compared to 277 industry peers in the Software industry. CRM has an excellent profitability rating, but there are some minor concerns on its financial health. A decent growth rate in combination with a cheap valuation! Better keep an eye on CRM. These ratings could make CRM a good candidate for value investing.


Dividend Valuation Growth Profitability Health

8

1. Profitability

1.1 Basic Checks

  • CRM had positive earnings in the past year.
  • CRM had a positive operating cash flow in the past year.
  • CRM had positive earnings in each of the past 5 years.
  • Each year in the past 5 years CRM had a positive operating cash flow.
CRM Yearly Net Income VS EBIT VS OCF VS FCFCRM Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 2B 4B 6B 8B 10B

1.2 Ratios

  • CRM has a Return On Assets of 7.59%. This is in the better half of the industry: CRM outperforms 79.06% of its industry peers.
  • CRM's Return On Equity of 12.03% is fine compared to the rest of the industry. CRM outperforms 75.81% of its industry peers.
  • With an excellent Return On Invested Capital value of 10.05%, CRM belongs to the best of the industry, outperforming 84.84% of the companies in the same industry.
  • The Average Return On Invested Capital over the past 3 years for CRM is below the industry average of 10.78%.
  • The 3 year average ROIC (5.83%) for CRM is below the current ROIC(10.05%), indicating increased profibility in the last year.
Industry RankSector Rank
ROA 7.59%
ROE 12.03%
ROIC 10.05%
ROA(3y)3.46%
ROA(5y)3.61%
ROE(3y)5.81%
ROE(5y)5.94%
ROIC(3y)5.83%
ROIC(5y)3.79%
CRM Yearly ROA, ROE, ROICCRM Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 2 4 6 8 10

1.3 Margins

  • The Profit Margin of CRM (17.91%) is better than 80.87% of its industry peers.
  • CRM's Profit Margin has improved in the last couple of years.
  • CRM has a Operating Margin of 22.03%. This is amongst the best in the industry. CRM outperforms 88.09% of its industry peers.
  • In the last couple of years the Operating Margin of CRM has grown nicely.
  • The Gross Margin of CRM (77.73%) is better than 74.73% of its industry peers.
  • CRM's Gross Margin has been stable in the last couple of years.
Industry RankSector Rank
OM 22.03%
PM (TTM) 17.91%
GM 77.73%
OM growth 3Y107.25%
OM growth 5Y49.51%
PM growth 3Y44.23%
PM growth 5Y85.88%
GM growth 3Y1.66%
GM growth 5Y0.52%
CRM Yearly Profit, Operating, Gross MarginsCRM Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 20 40 60

6

2. Health

2.1 Basic Checks

  • The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so CRM is destroying value.
  • Compared to 1 year ago, CRM has less shares outstanding
  • CRM has more shares outstanding than it did 5 years ago.
  • Compared to 1 year ago, CRM has an improved debt to assets ratio.
CRM Yearly Shares OutstandingCRM Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 200M 400M 600M 800M
CRM Yearly Total Debt VS Total AssetsCRM Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 20B 40B 60B 80B 100B

2.2 Solvency

  • CRM has an Altman-Z score of 4.18. This indicates that CRM is financially healthy and has little risk of bankruptcy at the moment.
  • CRM has a better Altman-Z score (4.18) than 73.65% of its industry peers.
  • CRM has a debt to FCF ratio of 0.65. This is a very positive value and a sign of high solvency as it would only need 0.65 years to pay back of all of its debts.
  • CRM has a better Debt to FCF ratio (0.65) than 77.26% of its industry peers.
  • CRM has a Debt/Equity ratio of 0.14. This is a healthy value indicating a solid balance between debt and equity.
  • Looking at the Debt to Equity ratio, with a value of 0.14, CRM is in line with its industry, outperforming 48.74% of the companies in the same industry.
Industry RankSector Rank
Debt/Equity 0.14
Debt/FCF 0.65
Altman-Z 4.18
ROIC/WACC0.92
WACC10.93%
CRM Yearly LT Debt VS Equity VS FCFCRM Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 20B 40B 60B

2.3 Liquidity

  • A Current Ratio of 0.98 indicates that CRM may have some problems paying its short term obligations.
  • CRM has a Current ratio of 0.98. This is in the lower half of the industry: CRM underperforms 75.45% of its industry peers.
  • CRM has a Quick Ratio of 0.98. This is a bad value and indicates that CRM is not financially healthy enough and could expect problems in meeting its short term obligations.
  • The Quick ratio of CRM (0.98) is worse than 74.37% of its industry peers.
  • CRM does not score too well on the current and quick ratio evaluation. However, as it has excellent solvency and profitability, these ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
Industry RankSector Rank
Current Ratio 0.98
Quick Ratio 0.98
CRM Yearly Current Assets VS Current LiabilitesCRM Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 5B 10B 15B 20B 25B

6

3. Growth

3.1 Past

  • The Earnings Per Share has grown by an nice 18.76% over the past year.
  • CRM shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 27.71% yearly.
  • CRM shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 8.41%.
  • Measured over the past years, CRM shows a quite strong growth in Revenue. The Revenue has been growing by 17.25% on average per year.
EPS 1Y (TTM)18.76%
EPS 3Y28.52%
EPS 5Y27.71%
EPS Q2Q%34.85%
Revenue 1Y (TTM)8.41%
Revenue growth 3Y12.67%
Revenue growth 5Y17.25%
Sales Q2Q%8.63%

3.2 Future

  • The Earnings Per Share is expected to grow by 14.75% on average over the next years. This is quite good.
  • CRM is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 9.51% yearly.
EPS Next Y16.58%
EPS Next 2Y14.07%
EPS Next 3Y13.96%
EPS Next 5Y14.75%
Revenue Next Year9.34%
Revenue Next 2Y10.17%
Revenue Next 3Y9.88%
Revenue Next 5Y9.51%

3.3 Evolution

  • The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
  • When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
CRM Yearly Revenue VS EstimatesCRM Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2017 2019 2021 2023 2025 2027 2029 2031 2033 20B 40B 60B 80B
CRM Yearly EPS VS EstimatesCRM Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2017 2019 2021 2023 2025 2027 2029 2031 2033 10 20 30

7

4. Valuation

4.1 Price/Earnings Ratio

  • CRM is valuated correctly with a Price/Earnings ratio of 16.06.
  • Based on the Price/Earnings ratio, CRM is valued a bit cheaper than the industry average as 77.26% of the companies are valued more expensively.
  • When comparing the Price/Earnings ratio of CRM to the average of the S&P500 Index (28.03), we can say CRM is valued slightly cheaper.
  • CRM is valuated correctly with a Price/Forward Earnings ratio of 13.95.
  • 78.70% of the companies in the same industry are more expensive than CRM, based on the Price/Forward Earnings ratio.
  • Compared to an average S&P500 Price/Forward Earnings ratio of 27.97, CRM is valued rather cheaply.
Industry RankSector Rank
PE 16.06
Fwd PE 13.95
CRM Price Earnings VS Forward Price EarningsCRM Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30 40

4.2 Price Multiples

  • 81.23% of the companies in the same industry are more expensive than CRM, based on the Enterprise Value to EBITDA ratio.
  • 84.12% of the companies in the same industry are more expensive than CRM, based on the Price/Free Cash Flow ratio.
Industry RankSector Rank
P/FCF 13.66
EV/EBITDA 14.59
CRM Per share dataCRM EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 20 40 60

4.3 Compensation for Growth

  • CRM's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
  • The excellent profitability rating of CRM may justify a higher PE ratio.
  • A more expensive valuation may be justified as CRM's earnings are expected to grow with 13.96% in the coming years.
PEG (NY)0.97
PEG (5Y)0.58
EPS Next 2Y14.07%
EPS Next 3Y13.96%

3

5. Dividend

5.1 Amount

  • With a yearly dividend of 0.88%, CRM is not a good candidate for dividend investing.
  • In the last 3 months the price of CRM has falen by -24.07%. A price decline artificially increases the dividend yield. It may be a sign investors do not expect the dividend to last.
  • CRM's Dividend Yield is rather good when compared to the industry average which is at 0.61. CRM pays more dividend than 90.61% of the companies in the same industry.
  • With a Dividend Yield of 0.88, CRM pays less dividend than the S&P500 average, which is at 1.80.
Industry RankSector Rank
Dividend Yield 0.88%

5.2 History

  • CRM does not have a reliable dividend history as it only pays dividend since a couple or years.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
CRM Yearly Dividends per shareCRM Yearly Dividends per shareYearly Dividends per share 2024 2025 0.5 1 1.5

5.3 Sustainability

  • CRM pays out 21.86% of its income as dividend. This is a sustainable payout ratio.
DP21.86%
EPS Next 2Y14.07%
EPS Next 3Y13.96%
CRM Yearly Income VS Free CF VS DividendCRM Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 2B 4B 6B 8B 10B
CRM Dividend Payout.CRM Dividend Payout, showing the Payout Ratio.CRM Dividend Payout.PayoutRetained Earnings

SALESFORCE INC

NYSE:CRM (2/11/2026, 5:39:45 PM)

After market: 184.8 -0.2 (-0.11%)

185

-8.45 (-4.37%)

Chartmill FA Rating
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)12-03
Earnings (Next)02-26
Inst Owners84.48%
Inst Owner Change-2.87%
Ins Owners2.57%
Ins Owner Change0.18%
Market Cap176.12B
Revenue(TTM)40.32B
Net Income(TTM)7.22B
Analysts79.66
Price Target330.06 (78.41%)
Short Float %1.96%
Short Ratio2.08
Dividend
Industry RankSector Rank
Dividend Yield 0.88%
Yearly Dividend1.59
Dividend Growth(5Y)N/A
DP21.86%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)8.16%
Min EPS beat(2)3.73%
Max EPS beat(2)12.58%
EPS beat(4)4
Avg EPS beat(4)5.55%
Min EPS beat(4)0.37%
Max EPS beat(4)12.58%
EPS beat(8)7
Avg EPS beat(8)3.66%
EPS beat(12)11
Avg EPS beat(12)5.61%
EPS beat(16)15
Avg EPS beat(16)7.06%
Revenue beat(2)0
Avg Revenue beat(2)-0.56%
Min Revenue beat(2)-1.12%
Max Revenue beat(2)0%
Revenue beat(4)0
Avg Revenue beat(4)-0.68%
Min Revenue beat(4)-1.42%
Max Revenue beat(4)0%
Revenue beat(8)1
Avg Revenue beat(8)-0.55%
Revenue beat(12)2
Avg Revenue beat(12)-0.14%
Revenue beat(16)3
Avg Revenue beat(16)-0.22%
PT rev (1m)-0.65%
PT rev (3m)-1.78%
EPS NQ rev (1m)-0.02%
EPS NQ rev (3m)0.2%
EPS NY rev (1m)0%
EPS NY rev (3m)3.4%
Revenue NQ rev (1m)0.01%
Revenue NQ rev (3m)2.48%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.58%
Valuation
Industry RankSector Rank
PE 16.06
Fwd PE 13.95
P/S 4.37
P/FCF 13.66
P/OCF 13.04
P/B 2.93
P/tB 43.24
EV/EBITDA 14.59
EPS(TTM)11.52
EY6.23%
EPS(NY)13.26
Fwd EY7.17%
FCF(TTM)13.55
FCFY7.32%
OCF(TTM)14.18
OCFY7.67%
SpS42.35
BVpS63.05
TBVpS4.28
PEG (NY)0.97
PEG (5Y)0.58
Graham Number127.84
Profitability
Industry RankSector Rank
ROA 7.59%
ROE 12.03%
ROCE 12.04%
ROIC 10.05%
ROICexc 11.87%
ROICexgc 114.64%
OM 22.03%
PM (TTM) 17.91%
GM 77.73%
FCFM 31.98%
ROA(3y)3.46%
ROA(5y)3.61%
ROE(3y)5.81%
ROE(5y)5.94%
ROIC(3y)5.83%
ROIC(5y)3.79%
ROICexc(3y)7.18%
ROICexc(5y)4.68%
ROICexgc(3y)84.54%
ROICexgc(5y)53.64%
ROCE(3y)6.99%
ROCE(5y)4.55%
ROICexgc growth 3Y144.43%
ROICexgc growth 5Y51.1%
ROICexc growth 3Y136.01%
ROICexc growth 5Y54.45%
OM growth 3Y107.25%
OM growth 5Y49.51%
PM growth 3Y44.23%
PM growth 5Y85.88%
GM growth 3Y1.66%
GM growth 5Y0.52%
F-Score8
Asset Turnover0.42
Health
Industry RankSector Rank
Debt/Equity 0.14
Debt/FCF 0.65
Debt/EBITDA 0.69
Cap/Depr 17.92%
Cap/Sales 1.51%
Interest Coverage 38.61
Cash Conversion 110.06%
Profit Quality 178.55%
Current Ratio 0.98
Quick Ratio 0.98
Altman-Z 4.18
F-Score8
WACC10.93%
ROIC/WACC0.92
Cap/Depr(3y)19.53%
Cap/Depr(5y)21.06%
Cap/Sales(3y)2.13%
Cap/Sales(5y)2.49%
Profit Quality(3y)1155.13%
Profit Quality(5y)786.34%
High Growth Momentum
Growth
EPS 1Y (TTM)18.76%
EPS 3Y28.52%
EPS 5Y27.71%
EPS Q2Q%34.85%
EPS Next Y16.58%
EPS Next 2Y14.07%
EPS Next 3Y13.96%
EPS Next 5Y14.75%
Revenue 1Y (TTM)8.41%
Revenue growth 3Y12.67%
Revenue growth 5Y17.25%
Sales Q2Q%8.63%
Revenue Next Year9.34%
Revenue Next 2Y10.17%
Revenue Next 3Y9.88%
Revenue Next 5Y9.51%
EBIT growth 1Y20.93%
EBIT growth 3Y133.52%
EBIT growth 5Y75.31%
EBIT Next Year40.83%
EBIT Next 3Y19.57%
EBIT Next 5Y14.79%
FCF growth 1Y46.33%
FCF growth 3Y33.02%
FCF growth 5Y27.52%
OCF growth 1Y40.37%
OCF growth 3Y29.7%
OCF growth 5Y24.76%

SALESFORCE INC / CRM FAQ

What is the ChartMill fundamental rating of SALESFORCE INC (CRM) stock?

ChartMill assigns a fundamental rating of 7 / 10 to CRM.


What is the valuation status for CRM stock?

ChartMill assigns a valuation rating of 7 / 10 to SALESFORCE INC (CRM). This can be considered as Undervalued.


Can you provide the profitability details for SALESFORCE INC?

SALESFORCE INC (CRM) has a profitability rating of 8 / 10.


What is the valuation of SALESFORCE INC based on its PE and PB ratios?

The Price/Earnings (PE) ratio for SALESFORCE INC (CRM) is 16.06 and the Price/Book (PB) ratio is 2.93.


How financially healthy is SALESFORCE INC?

The financial health rating of SALESFORCE INC (CRM) is 6 / 10.